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Pangaea Logistics Solutions Ltd. (PANL)
Unique Business Model Positive for Uncertainty Ahead
Pangaea Logistics Solutions Ltd and its subsidiaries provide seaborne drybulk transportation services. It transports drybulk cargos including grains, coal, iron, ore, pig, iron, hot briquetted iron, bauxite, alumina, cement clinker, dolomite and limestone. The firm's services include cargo loading, cargo discharge, vessel chartering, voyage planning and technical vessel management. The company derives all of its revenues from contracts of affreightment, voyage charters and time charters. Its strategy depends on focusing on increasing strategic contracts of affreightment, expanding capacity and flexibility by increasing its owned fleet and increasing backhaul focus and fleet efficiency.
Poe Fratt, Senior Research Analyst, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
Consistent business model delivered solid 4Q2019 results, but adjusting 2020 EBITDA estimate to reflect near-term uncertainty. While China is slowly returning to work and returning to normal, the near-term outlook is uncertain. As a result, our EBITDA estimate moves down to $47.1 million from $54.6 million, based on TCE rates of $13,423 and and 16,760 shipping days.
Fleet renewal intact with new build new program and sale of older assets. Acquisitions are possible if market...
This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).
*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.